When you look at how developing economies work, few things stir up as much disagreement as population numbers. Pakistan, with about 252 million people by 2025-26, is the fifth most populated country. Seeing its large, young population as an economic strength can inspire policymakers to harness its potential better. Having studied emerging markets for years, I believe a balanced view is best: population is a powerful, often overlooked asset that has repeatedly stopped economies from collapsing. However, its benefits aren't guaranteed; they're easily lost without other reforms, and they are fragile. Ignoring demographics means missing Pakistan's proven ability to bounce back; idealizing them means ignoring the structural issues that could turn potential into disaster.

A big, young population, where about 66% are under 30 and nearly 67 million are between 15 and 29, creates a strong domestic market. This market can handle outside shocks better than smaller economies. Private spending makes up most of the GDP, keeping demand for basic goods, services, and simple manufacturing strong even when exports fall or global challenges grow. During the severe crisis from 2021 to 2024, when foreign reserves could barely cover two weeks of imports, the rupee dropped. There were high risks of default; it was this internal economy, supported by remittances that often hit over $41 billion annually, resilient farming, and active city businesses that kept basic economic activity going. Even though GDP growth stalled or shrank, a total collapse was avoided. Domestic demand has grown by an average of 4-5% recently, providing a crucial support level during unstable times.

This resilience is real. Remittances, which come from people moving abroad and their established networks, act as a widespread stabilizing force. They support household spending, the current account, and the rupee's stability when official reserves are low. Agriculture, which employs many........

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